Wednesday, April 23, 2014

Marcus & Millichap's IPA Division Closes Record Seniors Real Estate Portfolio Sale in Texas

Marcus & Millichap (NYSE: MMI) today revealed its Institutional Property Advisors (IPA) division has closed the sale of a senior citizen’s real estate portfolio consisted of 33 knowledgeable nursing centers with approximately 4,200 certified beds and some shovel-ready development opportunities in South Central Texas. The transaction is the biggest seniors housing sale on record in Texas.

Joshua Jandris, Mark Myers, Peyton Stanforth, and Charles Hilding, all with IPA, represented the seller, Regency Post-Acute Healthcare System, and procured the purchaser, Capital Senior Ventures. Timothy Speck is Marcus & Millichap’s broker of record in Texas.

Donald Kivowitz, the seller, is the founder and chairman of Regency, which handles a corporation of over 120 restricted partnerships and corporations.

Over the last 26 years, we developed a valuable business with 33 experienced nursing facilities, stated Kivowitz. We likewise included a proficient device for rehab where we provided services for clients who came in anywhere from 2 weeks to 2 months after hip and knee replacement surgical treatments. Regency continuously focused on good patient care.

Jandris stated, there are companies with more beds and more structures that have actually sold, but maybe the reason we had the ability to get the value we did was that Regency not just constructed their structures, they owned them, operated them, dealt with every element of the business and touched every base within their space, which developed a lot of value.

This is among the biggest portfolio sales of skilled nursing facilities since the $6.1 billion sale of HCR ManorCare s portfolio to HCP back in 2011, stated Myers, executive director, IPA.

Mark and I have closed over $4 billion in long-term care and senior citizen’s real estate possessions over the past two decades and came across numerous distinct purchasers and operators, said Jandris, senior director, IPA. Due to our expertise and experience, we had the ability to bring Regency offers from a range of distinct purchasers, consisting of a household office, a publicly traded REIT, an independently traded REIT, and a personal equity fund; all were credible purchasers. We were able to create three offers for Regency right away, from a targeted pool of purchasers.

Kivowitz specified he very was fortunate to meet Joshua Jandris and Mark Myers. I was impressed with them and their tenacity; they were exceptionally truthful and easy. They made some representations that they could achieve something. I trusted them, and everything concerned fulfillment. This is a mutually useful relationship. I boast of it.